Rackspace and Palantir Partner to Run Foundry and AIP in Production with Governed Managed Operations
Rhea-AI Summary
Rackspace Technology (NASDAQ: RXT) and Palantir (NASDAQ: PLTR) announced a strategic partnership to deploy and operate Palantir Foundry and AIP in production with governed managed operations, targeting accelerated AI time‑to‑value for enterprises, especially regulated and data‑sovereign environments.
Rackspace will provide implementation, data migration, private cloud and UK sovereign hosting, plus managed operations and security controls; Rackspace currently has 30 Palantir‑trained engineers and plans to scale to over 250 in 12 months.
Positive
- 30 Palantir‑trained engineers now, scaling to over 250 in 12 months
- Private cloud and UK sovereign hosting for regulated, data‑sensitive customers
- End‑to‑end managed operations combining hosting, migration, implementation, and governance
Negative
- None.
Market Reaction
Following this news, RXT has declined 2.19%, reflecting a moderate negative market reaction. Our momentum scanner has triggered 86 alerts so far, indicating high trading interest and price volatility. The stock is currently trading at $1.34. This price movement has removed approximately $7M from the company's valuation. Trading volume is exceptionally heavy at 18.4x the average, suggesting significant selling pressure.
Data tracked by StockTitan Argus (15 min delayed). Upgrade to Silver for real-time data.
Key Figures
Market Reality Check
Peers on Argus
Sector peers showed mixed moves (e.g., GRRR -4.76%, LSAK +1.13%, PDYN -3.33%), and no peers appeared in the momentum scanner, pointing to a company-specific catalyst.
Historical Context
| Date | Event | Sentiment | Move | Catalyst |
|---|---|---|---|---|
| Feb 10 | Earnings date notice | Neutral | +5.4% | Set date and time for Q4 2025 earnings release and call. |
| Jan 27 | Exec hire/partnerships | Positive | -2.7% | Appointed SVP to lead global strategic alliance and channel partnerships. |
| Jan 16 | Sovereign cloud status | Positive | -2.3% | Secured VMware Sovereign Cloud Partner Status for UK Sovereign Services. |
| Jan 14 | Cloud certification | Positive | +3.9% | Received VMware Sovereign Cloud certification for UK data sovereignty offering. |
| Dec 15 | Industry recognition | Positive | -6.2% | Named a leader in three quadrants of ISG 2025 multi cloud services report. |
Recent history shows mostly negative or mixed price reactions even around operational or recognition-related positive news, with only one clear alignment between positive news and a price gain.
Over the past six months, Rackspace has highlighted several strategic and recognition milestones. An earnings-date announcement on Feb 10, 2026 preceded a +5.4% move. Leadership changes to strengthen partnerships were announced on Jan 27, 2026, while VMware Sovereign Cloud certification and partner status news on Jan 14 and Jan 16, 2026 produced mixed reactions. An ISG report on Dec 15, 2025 naming Rackspace a leader in three quadrants saw shares decline. Today’s Palantir partnership continues the theme of emphasizing AI, sovereignty, and managed operations.
Market Pulse Summary
This announcement details a strategic partnership in which Rackspace will help enterprises deploy Palantir Foundry and AIP in governed, sovereign, and private cloud environments, backed by 30 Palantir-trained engineers and plans to exceed 250 within a year. It reinforces Rackspace’s focus on AI, data sovereignty, and managed operations, consistent with recent VMware Sovereign Cloud milestones. Investors may watch for specific customer wins, utilization of UK sovereign data centers, and how these services translate into revenue and workload growth.
Key Terms
hybrid multicloud technical
data migration technical
private cloud technical
data sovereignty regulatory
data residency regulatory
AI-generated analysis. Not financial advice.
Customers to gain accelerated AI-driven business outcomes from implementation expertise, cloud hosting, and data migration support in a governed operating model
SAN ANTONIO, Feb. 18, 2026 (GLOBE NEWSWIRE) -- Rackspace Technology® (NASDAQ: RXT), a hybrid multicloud and AI solutions company, and Palantir Technologies Inc. (NASDAQ: PLTR), a global leader in operational artificial intelligence platforms, today announced a strategic partnership to help enterprises rapidly deploy and operate Palantir’s Foundry and Artificial Intelligence Platform (AIP) in production to achieve measurable business outcomes.
Through this partnership, Rackspace’s governed operating model will provide consistent security, operating controls and compliance from edge to core to cloud enabling customers to deploy AI use cases with Palantir in production in weeks or months versus months or years. The companies are also collaborating to run Palantir software in Rackspace’s Private Cloud and UK Sovereign data centers. This is especially critical for regulated industries where AI deployments must meet strict data sovereignty and compliance requirements.
Organizations struggle to extract business value from AI and data platforms because deploying and operating these systems at scale requires specialized expertise they often don’t have in-house. As Palantir’s strategic partner in data migration and global implementation services, Rackspace will help customers prioritize their most high-impact business problems, then deliver implementation, including data readiness, hosting, and ongoing managed operations of Palantir’s platform to realize outcomes. As part of this collaboration, Rackspace has 30 Palantir-trained engineers to provide data migration and apply a forward deployed approach to solving high impact customer problems and is on track to scale to over 250 in the next 12 months.
“Organizations need AI that works in production, not just in demos,” said Gajen Kandiah, CEO of Rackspace Technology. “Palantir's platform, combined with Rackspace's governed cloud operations and our shared forward deployed engineering approach, enables customers to accelerate time to value and drive competitive business impact with governance and security. This is especially important in regulated industries.”
The partnership combines Rackspace's 25 years of experience managing mission-critical enterprise workloads across hybrid environments with Palantir's decision-intelligence platform. Customers can benefit from a turnkey deployment model designed to reduce risk and operational burdens and accelerates time to value. For regulated and data-sensitive organizations, this partnership aims to deliver greater confidence to deploy advanced AI capabilities in a private cloud environment that meets sovereignty, security, and residency requirements.
“Organizations that adopt our AI Operating Systems fundamentally change their unit economics. In the context of migrating complex data environments, Palantir AIP is taking completion timelines from years to days. Rackspace will help our customers accelerate their pace of adoption and as a result, lead their respective industries,” said Sameer Kirtane, Head of US Commercial at Palantir.
Integrated Service Delivery Across the Stack
Customers want a consistent way to deploy, govern, and operate AI across their data environments, with accountability and measurable outcomes. Unlike point solutions that require customers to manage infrastructure, data pipelines, and AI operations separately, this partnership is aimed at providing end-to-end infrastructure hosting, data migration, implementation services and ongoing managed operations as an integrated service.
For more information go to: go.rackspace.com/lp/cp/palantir-partnership-2026
About Rackspace Technology
Rackspace Technology is a leading hybrid multicloud and AI solutions company. We can design, build, and operate our customers' cloud environments across all major technology platforms, irrespective of technology stack or deployment model. We partner with our customers at every stage of their cloud journey, enabling them to modernize applications, build new products, and adopt innovative technologies.
About Palantir
Foundational software of tomorrow. Delivered today. Additional information is available at https://www.palantir.com
Forward Looking Statements
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements include, but are not limited to, statements regarding: the companies' expectations regarding the amount and the terms of any contract and future partnership activities; the expected benefits of the partnership and the companies' software platforms and services; Rackspace's plans to expand its Palantir-trained engineering resources; expected deployment timelines and customer outcomes; the ability to operate Palantir software in Rackspace's data centers; and other statements regarding future capabilities, services, and business expectations.
Forward-looking statements are inherently subject to risks and uncertainties, some of which cannot be predicted or quantified. Forward-looking statements are based on information available at the time those statements are made and were based on current expectations as well as the beliefs and assumptions of management as of that time with respect to future events. These statements are subject to risks and uncertainties, many of which involve factors or circumstances that are beyond the companies' control.
For Palantir, these risks and uncertainties include the ability to meet the unique needs of customers; the failure of Palantir's platforms to satisfy customers or perform as desired; the frequency or severity of any software and implementation errors; Palantir's platforms' reliability; and customers' ability to modify or terminate the contract. For Rackspace, these risks and uncertainties include the ability to recruit, train, and retain qualified engineering personnel; the ability to successfully deliver managed services at the scale and quality levels described; technical challenges in operating Palantir software in Rackspace environments; customer adoption rates; and the ability to achieve the deployment timelines and business outcomes described herein.
Additional information regarding these and other risks and uncertainties is included in the filings Rackspace Technology and Palantir make with the Securities and Exchange Commission from time to time. Neither Rackspace Technology nor Palantir undertakes any obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future developments, or otherwise, except as required by law.
Media Contacts
Cheryl Amerine, publicrelations@rackspace.com
Lisa Gordon, media@palantir.com
FAQ
What did Rackspace (RXT) and Palantir announce on February 18, 2026?
How many Palantir‑trained engineers does Rackspace have for the RXT partnership and what is the timeline?
How will the Rackspace and Palantir partnership affect AI deployment timelines for RXT customers?
Will Rackspace host Palantir software in sovereign environments for regulated customers?
What managed services will Rackspace provide under the RXT and Palantir collaboration?
What industries are most likely to benefit from the Rackspace (RXT) and Palantir partnership?
